Visual merchandising is a key promotional technique that includes retail store layouts and attractive product displays that enhance product benefits to appeal to target customers. Advertising is used to get customers to stores, and effective visual merchandising helps with point-of-sale success as customers look through products.

Layout and Design

Layout and design are starting points for visual merchandising. This is the specific way in which your retail business is set up. Typically, your layout is based on a combination of strategy and aesthetic appeal. For instance, jewelry retailers often put more expensive items in prominent displays at the front of the store. Discount retailers and department stores often have a track style setup around the perimeter and open aisles for easy movement through the middle of the store. Color schemes, such as Wal-Mart's blue and Target's red, are often involved in store design as well.

Fixtures and Lighting

Fixtures includes shelving and attachments on the interior of the retail store used for product placement and aesthetics. Ceiling fans, all murals and displays and floor shelving are common retail fixtures. The use of a lighting is an important visual component. Typically, bright lighting is preferred because it projects a more upbeat environment that induces feelings of happiness, aiming to spur spending. However, some stores use dim or darker lighting to coincide with particular store themes.

Displays

A number of displays are used in visual presentation. Endcap displays are used for special sales promotions or discounts and to promote seasonal or time-sensitive products. Fashion and apparel retailers use mannequins to prominently display clothes. A mannequin shows off the form of the clothing items so the customer can see a particular look or style. Front-end displays are sometimes used for aesthetics or to highlight products for special events, such as barbecue-related items for Independence Day. Retailers also use window displays to brand the store and to promote trendy products.

Product Placement

Closely related to merchandise displays is product placement. This is the strategy of positioning products throughout the store to optimize overall revenue and to make products easy to find. Seasonal and high-demand products are often located near the front of the store or a department. Cross-selling is also done by putting products such as ketchup, hot dogs and buns near each other. Department stores categorize products into areas so customers can explore certain types of products at once. Sensible organization is also important, especially in supermarkets where people shop for various groceries and household items.

About the Author

Neil Kokemuller has been an active business, finance and education writer and content media website developer since 2007. He has been a college marketing professor since 2004. Kokemuller has additional professional experience in marketing, retail and small business. He holds a Master of Business Administration from Iowa State University.